Banco Santander and six other entities -ANZ, BNP Paribas, Citi, Deutsche Bank, HSBC and Standard Chartered- have announced the creation of a digital commercial information network for banks and companies, which want it to be ready in the third quarter of 2019 .
In a note sent today, the entities explain that the main objective of this network is to address the "unsatisfied demand for financing at the beginning of the supply chain", by allowing companies to exchange information with their banks easily and safely and minimize credit risks.
In this way, companies can launch and verify purchase orders and invoices to request commercial financing from the banks they choose.
And "by giving banks access to reliable business information, the network will help mitigate the risk of double financing and fraudulent commercial information in the sector," the note said, adding that the project will be piloted shortly with several pilots. , before its release.
This initiative will allow banks to better assess risks and provide commercial financing at earlier stages of the supply chain, even in the case of small and medium-sized companies that have traditionally had more difficulties in accessing commercial financing.
According to the calculations of the sector, the requests of neglected financing of the companies add each year about 1.5 trillions of dollars, which gives an idea of the importance of the project.
In addition, banks will continue to provide financing outside the network through their own systems, the note adds.
The founding entities have signed the corresponding Memorandum of Understanding (MoU) and have selected CGI as the technological provider, which has already completed the pilot version of the project, called "Trade Information Network", and will now continue working on its development
The network has been endorsed by a large number of companies and banks, and in addition to the seven founding entities, another 20 from around the world participate "actively" in its development and some companies have already shown interest in participating in the pilots.
The project will be presented on October 22 at SIBOS, the annual financial services conference of the Swift payment platform, which will take place in Sydney (Australia).